Promoting excellence in advertising

Despite an international taste preference and demand for Pakistani rice, Pakistan has dropped to 13th place in terms of global rice production (despite the opportunity to increase its market size by 50%), mainly because of a lack of quality variants (Source: United States Department of Agriculture, 2016). Recognising this demand-supply gap, Jazaa Foods (an FMCG company established by Junaid Jamshed in November 2015) launched Jazaa rice in March this year as a premium quality brand designed to tap into this global market potential.

The Pakistan Bureau of Statistics estimates the total volume of the rice industry at approximately 6.9 million metric tons, of which 40 to 45% goes towards local consumption and the rest is exported. The category comprises basmati (Pakistan’s claim to fame, grown in Punjab), irri (cultivated in Sindh), parboiled (colloquially known as sela in Punjab) and brown rice (grown on a very limited scale on rocky terrains in Northern Pakistan).

According to Ali Jabbar, CEO, Jazaa Foods, “as a staple crop, rice has traditionally been dominated by wholesale suppliers, where the business model relies on low-cost milling and production – and the hope of a steady monsoon season.”

Unbranded khulla chawal accounts for almost 96% of the total industry output. There are only a handful of branded players and these include Matco’s Falak, Engro Eximp’s Rymah and Guard Basmati – the focus here has always been on export markets, because of the higher profit margins. Jabbar says, “there was no brand catering to the growing domestic demand for quality, branded rice and we wanted to take advantage of this gap.”

Given that rice has the third largest crop production output in Pakistan (Source: Pakistan Bureau of Statistics, 2015), supply was not a problem and according to Jamshed, Director, Jazaa Foods, the “real challenge was to select rice variants of the highest quality, add value through standardised milling, and bring Jazaa rice to market as an affordable product of the highest quality.”

The name of the company as well as the brand originated from this extensive focus on delivering value-added products. Jazaa translates to ‘reward’ or a ‘fulfilling return’, which is appropriate, as Jamshed’s vision for Jazaa Foods is to establish Pakistan’s first FMCG initiative producing branded consumption commodities of the highest quality.

"Despite the stringent quality control standards the product was subjected to, I wanted to ensure that Jazaa rice remains affordable for every Pakistani household.”

— Junaid Jamshed

Interestingly, the inspiration for Jazaa rice came from the Indian brand Tilda, a major player in the international market, which relies on delivering the best tasting rice. “I wanted to replicate Tilda’s success in Pakistan, which is why despite the stringent quality control standards the product was subjected to, I wanted to ensure that Jazaa rice would remain affordable for every Pakistani household.”

Implementing this vision meant that the pricing strategy had to be carefully devised so that the brand would be affordable across most socio-economic groups. To ensure this, Jazaa rice was launched in five variants, each of which has two SKUs: Jazaa Elite Steam Rice (Rs 199/one kg; Rs 985/five kg), Jazaa Premium Basmati (Rs 170/one kg; Rs 840/five kg), Sela Gold Rice (Rs 160/one kg; Rs 790/five kg), Basmati Rice (Rs 140/one kg; Rs 690/five kg) and Economy Rice (Rs 110/one kg; Rs 540/5 kg). To put it into context, a one-kilogram pack of unbranded rice sells for between Rs 90 and 100, while a similar quantity of branded rice is priced at between Rs 120 and 160.

However, Jamshed was keen to ensure that this affordability did not come at the expense of product quality. “From the onset, I believed that to grab market share, Jazaa rice would have to deliver quality and taste in every pack.”

Industry insiders have often pinpointed the lack of adequate processing facilities as the reason why Pakistani rice is of poor quality and Jazaa Foods expected to encounter a similar challenge. However, the team was pleasantly surprised to find that a robust infrastructure for refining, processing and packaging rice was already in place. The problem, they discovered, is that the major rice players prefer to minimise the cost of production and are thus unwilling to make the required investment to improve quality.

Jazaa Foods, however, believe that investing time and money early on will hold the brand in good stead and yield optimal returns in the long run. Therefore, from the time the rice is purchased from designated plantations in Punjab to when it is transported to the milling unit at Port Qasim, the company closely monitors the supply chain. Furthermore, prior to packaging, every grain of rice is inspected by an internationally trained, in-house quality assurance team, and it is only after their approval that the rice is packaged for distribution. According to Jamshed, “the critical success factors for Jazaa rice, locally and internationally, are extensive refining as well as packaging that is not only attractive, but complies with international food packaging regulations.”

While the brand vision is to take Jazaa rice global, currently the brand’s distribution (which began in Karachi) has been limited to supermarkets, grocery shops and kiryana stores across Pakistan.

In what can safely be termed a packaging innovation for branded rice in Pakistan, the pack of each of the five variants carries a product shot of a meal cooked with that particular rice variety. This has not only helped the packaging to grab eyeballs on retail shelves, but, as Jabbar explains, “it has helped to create awareness about which kind of rice is most suited for which recipe. For instance, most people are unaware that sela rice is ideal for biryani and pulao.”

In the four months since launch, Jazaa rice has managed to carve out a place for itself. The Jazaa Foods team is particularly proud of this achievement because instead of opting for an extensive ATL-driven prelaunch campaign, they opted to let word-of-mouth promotions drive sales. In addition, a chunk of the initial marketing budget was allocated to trade activation initiatives, including having store inceptors at selected outlets hand out product samples to generate trial and consumption. “The rationale,” Jamshed states, “was that once people experience the taste of Jazaa rice, they will not be satisfied with any other brand or variety of rice.” Product placement in cooking shows, particularly during Ramazan, was also a strategy that helped increase brand awareness and recall.

To make the brand even more accessible, free home delivery within Karachi is being offered and orders can be placed by logging on to jazaafoods.com. “The advantage,” Jabbar says, “is that there is no minimum order quantity and people can order even a pack of one kilogram.”

A traditional ATL campaign, conceived, designed and executed by Ailaan Advertising, was launched after the product distribution had started.

Planning is now underway to launch export operations, where the challenge will be the extensive product quality and packaging regulations.

Considering Jazaa rice’s export potential, Jamshed adds that, “I realise that our expenses will increase substantially, but in my experience, the export market is where the maximum profits are. An important incentive is the presence of large Pakistani expatriate communities in those markets who will welcome a quality brand that will give the traditional aroma and flavour they are accustomed to.”

Comments (68) Closed

And in India...govt supplies rice at Rs 1 per kg... Karnataka state...

SamAug 01, 2016 06:10pm

Wahan nafaaa. Wondering if any of the profits get to poor and needy?

SkepticAug 01, 2016 06:23pm

Does that make the Rice more Halal?

Rice is Rice. By putting your own brand on it, and claiming inherent piety, doesn't make the crop more holy or more satisfying. How do you put Barkat in Tomatoes or Corn?

NaveedAug 01, 2016 06:37pm

Good way to sell

AAAAKKKKAug 01, 2016 06:43pm

Excellent business idea! Just a quick question, are women going to be allowed to drive to stores to purchase Jazaa rice?
All the best!

Agha AtaAug 01, 2016 06:44pm

Mixing your faith with your business to get customer's trust is not politically right. I know dozens of such businessmen who cheat their innocent religious customers; that is hypocrisy. But if you are the FIRST one not to do so, then, of course, you are welcome to do so. :>)

anees from zaidaAug 01, 2016 06:48pm

A very positive analysis. Wish them all success !!!!!!!!!

A. KhanAug 01, 2016 06:49pm

JJ had/has a so-so voice and his singing career might be over ever since he decided to give up his hard partying ways and turn evangelical but he sure does know how to milk this brand name, by charging extravagant prices for clothes. Now he is into the food business.

Capt C M KhanAug 01, 2016 07:06pm

This guy knows how to make money. Sell Clothes....Sell Food very soon he will start selling as well I guess. He did nothing for the underprivileged youngsters of our country did not bring any Foreign investment in country. Just makes Money for himself in this world.

KPAug 01, 2016 07:06pm

I am an ardent reader of Dawn and believe it is top notch and practices balanced journalism for the most part. Perhaps that is why, gauging from your readership, there appear to be as many Indians reading and commenting as Pakistanis.

Anyway, I have to admit that at first glance as most do, one sees the picture accompanying the story. Subconsciously, my mind warned me this story was going to be about religion or Kashmir or related topic. I was pleasantly surprised that it was about an entrepreneur who has absolutely the right approach and success for him is guaranteed and much deserved. I wish Mr. Jabbar much success. Brand building takes time and patience and the best way is exactly as he is doing, by customers experiencing his quality products. People like him are an inspiration to many and to me, a warning to not stereo type an individual on looks alone.

oregataAug 01, 2016 07:07pm

@What - And still 27% of India sleeps hungry.

RahiAug 01, 2016 07:26pm

Jaaza for profit... or it is Janaza of ethics and values to use religious terms for marketing

BattleaxeAug 01, 2016 07:33pm

We have a similar sounding yoga man here in India too , so the fashion has caught on , mixing religion with food as a guratee for quality , great .

maher USAAug 01, 2016 07:35pm

The cleric knows how to do business. Catchy slogans .

waseemAug 01, 2016 07:51pm

Exporting rice is like exporting water.

Ahmed Saeed Aug 01, 2016 08:21pm

In Pakistan people can't afford any brand of Junaid Jamshed whether clothing cosmetics or now the food items .

FaisalAug 01, 2016 09:29pm

most women are angry at JJ, this rice is never seeing my wife's kitchen, and I support her.

WaheedAug 01, 2016 09:45pm

There comes the designers rice, at premium price

J. Jaza

shahAug 01, 2016 10:11pm

We pray for the best...Some profit should go to farmers and to improve quality of rice.

subhAug 01, 2016 10:39pm

Why is rice so expensive in Pakistan? In India 1 KG of normal rice will be between Rs 35-40. Is similar Price in Pak around Rs 90 as the article claims?

AlphaAug 01, 2016 11:03pm

Going through the comments, a bit surprised at how so many people expect a religious person to not fulfil any personal or commercial needs. Does being religious mean that he should stop any trade whatsoever? Many of Prophet's (PBUH) companions were successful businessmen. It has become our national spirit that we have to bring down any successful pakistani be it Malala, Sharpen Chinoy, Junaid Jamshed etc.

fahadAug 01, 2016 11:25pm

NO, its in our country where the labor and peasants have no voice, and where child labor is rampant, where women, who mostly work in paddy fields, are underpaid -Jazaa means barket! Alhamdullilah

Wasim QureshiAug 01, 2016 11:39pm

@AAAAKKKK Yes very much so, but in Burkha and veil. Thank you for your interest in Pakistan. Hopefully one the western nations will realize the importance of cover for women just like the nuns dress and then maybe cut down on the rape rate to 0%.

NASRAug 01, 2016 11:43pm

Marketing or Selling of Rice is a hard nut to crack. Branding in any type of earth produced food depends on consistency in quality of the crop. The price is so important too. Here in US I have never seen a single rice brand from Pakistan to follow suit. Good luck Junaid Bhai.

M. MalikAug 02, 2016 12:02am

@Alpha Your's is a short-sighted view and analysis of the majority of comments. No one says a religious figure should not engage in trade or own a business or make profit. And your citation of the Prophet's companion overlooks the key aspect as it relates to this story.

None of the Prophet's companions used or exploited the newly found faith to promote their business, neither resorted to borrowing religious terms or Islamic practices to put a holier spin on their trade or products. That's what many find opportunist and offensive in this case, where Junaid is using terms like Jazaa to imply that the Rice is somehow better, has barkat, or is perhaps more 'Islamic' than others. Nowhere in the Islamic teaching can you find any suggestion that associating sacred terms or Islamic concept to a business, makes any product somehow better or holier and more digestable or will bring you closer to God.

AzizAug 02, 2016 12:31am

@Faisal Do you have a typical household where your wife cooks and clean while you sit and watch TV while sipping on tea?

RoshanAug 02, 2016 12:43am

It is nice to know that even Arabs have started liking rice.

AhmedAug 02, 2016 12:56am

Religious people make better businessmen, they have fear of the Almighty.....They have all the right to to do business and make a lot of money......

JavedAug 02, 2016 01:22am

Good business venture by Mr. Junaid. Everything the man touches turns to gold, this will too!

HINDUSTHANIAug 02, 2016 01:28am

Jazza It will not sell as Indian Brand Tilda, India gate marks. India is number one best quality in Rice, wheat, other food products in the world. Mr.Modi government encourage well all formers and industrialists as well to be India on top Make in India. So, Pakisthan is very far from Indian speed buisness.

uhuAug 02, 2016 01:39am

@Alpha He should not stop at rice but may be also start selling dairy/poultry products and brand them such as Burraq Chicken, Salih Beef/Mutton etc etc...

Imran Aug 02, 2016 01:46am

@Agha Ata Spot on, Junaid has found the perfect business plan since he fully embraced Islaam, Religion, Business and lots of money. This from a man who charges 5,000 Rupees + for a few ounces of his perfume brand.

Vishnu MahantAug 02, 2016 02:49am

Subsidizing products undermines quality. Any price lower than the production cost is not in the interest of product quantity or quantity! If a government provides something for the poor, it must be on a very small scale and restriction so as not to threaten the free market! Subsidies, Reservations and quota are anti excellence!

AfridiAug 02, 2016 02:58am

Stop branding the food product as something Islamic, Instead bring good character, honesty and Islamic business ethics to make a difference at home and abroad. Right now i challenge if any product selling in Muslim countries can reach the high standard and quality in a non Muslim country, especially the west.

CHAPATIAug 02, 2016 03:27am

if u take out the last word Barkat and put instead delicious,refined or even most popular than u are fine with it !

white noiseAug 02, 2016 04:14am

guess his clothing biz is not ripping up enough people that he has to turn to food now? that beard is not fooling anyone, jana janaaa !!!

AbbasiAug 02, 2016 06:30am

This is purely a entrepreneurial step and has nothing to do with one's belief. I wonder why our respectable fellows are pushing it to his religious believes. Don't mess things for the sake of nothing.

Being religious doesn't mean one shouldn't think beyond that.

SameerAug 02, 2016 06:31am

Would he give a share of his jazaa to Edhi please?

He wanted to ensure that Jazaa rice would remain affordable for every Pakistani household. Just like the cheap chain of his garments.

SameerAug 02, 2016 06:33am

@Rahi sazaa for the poor

JavaidAug 02, 2016 07:15am

JJ is a wholesale marketeer...now women will his brand dress...cook his brand of food...watch his brand of TV shows...jahan JJ wahan Munafaa hee Munafaa!

JJ can never be Edhi like!

Muhammad AhmedAug 02, 2016 08:06am

I think Zebra is the best brand of basmati rice from Pakistan. I cannot even enjoy Tilda or Royal basmati any longer which enjoy primary market share in USA. I think the best combination for biryani involves mixture of sela and basmati. The sela is best for lower layer and basmati is great for last two layers.

ConcernedAug 02, 2016 08:13am

Good for you. But could you explain so many hungry people in India ? They can't even afford one Rupee per day ?

ConcernedAug 02, 2016 08:14am

@Skeptic Just be pumping in through the pump brand - baraka.

ConcernedAug 02, 2016 08:15am

@waseem No it is not.

ConcernedAug 02, 2016 08:17am

@Alpha Did it ever occur to you that this guy is using his fame (or notoriety) to market these products ?

MasoodAug 02, 2016 08:48am

He is simply doing business. He has a product and he wants to sell it. He is not twisting anybody's arm to buy his product. And why do these commentators always bring morality into every thing ? And how these people know what he does with his money ? May be he is running some charitable institution ANONIMOSLY.

Sufi BhaiAug 02, 2016 09:42am

Welcome to the age of the Absurd!

AnnieAug 02, 2016 10:27am

@What Yet 1,002 farmers have committed suicide in Karnataka.

Muhammad AliAug 02, 2016 10:28am

"Jahan Jazaa wahan barkat" Molvi sb is distributing jazaa for a meager price and along with that some barkat as well, who wouldn't want that.

Also the writer should post a link to his source about his outrageous claim of Pakistan being at the number 13 and taking 50% of the market share, means we would have to farm rice pretty much all over Pakistan, to have a yield to sell.

http://www.worldstopexports.com/rice-exports-country/

MUKAug 02, 2016 10:35am

Junaid......Give me one good product name of yours which can be afforded except by high income class.

mujeebAug 02, 2016 12:39pm

I am in rice business since 1996 and it's good that Pakistan is striving for rice branded industry in domestic and international markets but good consistent quality at low price does not come from beautiful words rather it develops from grass root level with the continuous support and will of the concerning government authorities and related rice community.

Imran GhaziAug 02, 2016 01:00pm

From my personal experience, I can say that cost of JJ garments is very high and quality is not very good. Comparatively quality of Khadi's garments is much better and prices are reasonable. Sorry to write that JJ used his religious image and media popularity for the success of his business.

vague busterAug 02, 2016 01:06pm

@HINDUSTHANI we are not talking about Indian business, we are talking about Junaid's brand of rice

Ahmar QureshiAug 02, 2016 01:09pm

Nice initiative by JJ & he really knows how to promote his brands in market! No doubt he has been a successful business man in all the fields he opted & we know & we accept!
@ Jazaa Rice: This brand will compete in national & international market but it is requested that the price tag should be kept affordable for the masses.
Best Wishes!

SHARIQ ISLAMAug 02, 2016 01:48pm

Good initiative by J.J but price strategy is so far from Middle and Lower Class. I think your Jaza rice is as expensive as your J. clothes.

CriticAug 02, 2016 01:48pm

@Ahmed Saeed That's not factual. J. has a market segment to focus and it is doing quiet well. Not every brand is for every segment of the society. I appreciate him for taking initiative to help falling exports. May be we end up with a good brand to trust. Atleast he is trying to contribute positively to the society by creating employment unlike most of people commenting and criticizing him.

SAMEERAug 02, 2016 02:49pm

TO MUCH PROFIT , ARE THE FARMER/GROWER EQUALLY PAID?

AhmedAug 03, 2016 05:48am

Despite of bringing the qualitive food stuff cheaper and to think over less privileged population J.J has bring a branded rice, the name is chosen to exploite the religious faith, after experiencing the branding of garments and accelerating prices of branded garments how does you say that the rice prices will remains in reach of common man in coming days , Religion demand us to help the under privileged people at each step of your life which is missing. Unbranded rice of good quality which is available on grocery stores on our streets shops at price of 80 rs per kg but you are charging 30 rs per kg additional for your brand.
The tag line of Jazzaa might be brings Barkat not for users for your business only.

PakistaniAug 03, 2016 08:53am

@HINDUSTHANI . Please correct the spelling of Pakistan. As far as Pakistani rice is concerned I know an Indian famous importer based in UAE imports ship loads of Pakistani rice and repack it,and onwardly exports to EU,USA. This means Indian too is a customer of Pakistani rice , although so far we have not heard of any Pakistan trader in UAE buying rice from India.

g.murtazaAug 03, 2016 09:51am

Good sign for pak market s and for farmers values

AsadAug 03, 2016 12:08pm

Wow religion on Sale! Get a file of a plot in heaven by buying Jaza rice! Insanity Prevails

Iqbal Hadi ZaidiAug 03, 2016 01:38pm

Utter shame on those who sell their photo and or name just to mint money, not earn money. How many Pakistanis could wear JJ dress is my simple question. Its sales outlet in Dubai is a very expensive plaza where ordinary Pakistani toiling hard in over 50 degrees temperature in Dubai could not even dare to enter the emporium what to talk of buying JJ dress. Now the rice is being sold alike. Did they ever think of the poor masses as Imran opened cancer hospital? Iqbal Hadi Zaidi

YusafAug 05, 2016 12:48am

@AAAAKKKK You could have come up with something that would help Junaid jamshaid, dont put sarcastic and useless comments here.

YusafAug 05, 2016 12:49am

@Agha Ata why are you assuming bad and wrong about every good thing anyone wants to do? if you dont like it dont buy it. why such useless comments?

Very expensive! Rice prices have decreased significantly in local market due to reduced exports. They are just trying to pocket huge margins packing rice in attractive bags. Have to agree with one of the poster's 'designer rice' remarks!

goodAug 23, 2016 10:04pm

better than selling halal clothes to women after bashing them every now and again. Glad he switched to food!

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